Trucking Insurance Factors

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There are so many companies offering commercial trucking insurance these days. This makes the insurance market a competitive field, giving more options to the consumers. Getting insurance for your vehicle is not so difficult given the many choices available.

When calculating for the cost of insurance premiums, there are various aspects that are looked into by the insurance company. The type of premium that must be provided for a commercial truckĀ  is based on various factors. The risks in different areas like the finances, accidents and goods transported are the major issues considered in computing the trucking insurance costs.

The main issues used in determining trucking insurance could be categorized in three factors: human aspect, machine aspect, and environmental aspect. All these three contribute to finding out the price and type of coverage that should be given to a commercial vehicle.

The human aspect constitutes mainly the driver of the truck. For insurance companies, the age and driving record of the driver is very important. Statistics shows that younger drivers are more prone to accidents on the road compared to older, more experienced drivers. How does this affect the premium? Well, the higher the accident risks the higher the premium cost would be. Although an older driver doesn’t always translate to a better driver, statistics show younger drivers are more accident prone.

The driving record of the driver is also a major consideration in obtaining commerical trucking insurance. Those who have accumulated long years in driving commercial vehicles without any accidents or claims from previous insurance often get benefits in their current insurance application. On the other hand, expect a high premium amount to be paid when your records have many traffic violations and claims.

Trucking InsuranceThe machine factor is actually the truck itself. This also has an effect on the final cost of the commercial truck insurance. The newer the truck, the higher the premium needed to be paid for it. This is because newer vehicles often cost more than older vehicles. Specific parts of the truck like the breaks, engine and tires are also looked at to make sure it is in good running condition. The weight load carried by the truck is another consideration. More often, trucks that often carry lighter loads than those provisioned in the trucking insurance plan end up paying more compared to those carrying heavier loads.

Lastly, there are the environmental factors. The usual route of the truck needs to be established by the insurance companies to determine environmental risks. Those trucks always passing through areas with bad road conditions and surroundings, and always affected by bad weather often needs to pay higher premium. If the road conditions are good and the weather on your route is mostly pleasant, premium is expected to be a bit lower.

When it comes to getting a commercial trucking insurance quote you’ll need to keep these factors in mind. They will determine just how much or how little your rates will be. Getting a trucking insurance quote with the same criteria from a number of companies will help find the best rate and company to work with.

All of these things make up for the deciding factors as to when truck insurance companies offer a particular premium. Knowing them can help the commercial truck owner in figuring out why they pay such amount for their trucking insurance.

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